Let’s understand:Is the gains on your bitcoins sale tax free? But the taxpayer needs to be informed that our income tax laws contain provisions which has the power to include different types of income for taxation purpose. There are five heads of income – under the head salary, house property, capital gains or profit and gains from business & profession and the last one is income from other sources. So any gains you make on sale of bitcoins will become your capital gains and classified under short-term or long-term gains. The gains in this case would be treated as your business income taxed as per your tax slabs.

Source: dna December 27, 2017 20:03 UTC